Forums › ACCA Forums › ACCA AFM Advanced Financial Management Forums › Question about 2017 March (chrysos) 2017/Q1
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- November 27, 2021 at 6:04 am #641733
Hi teacher
I want to ask two questions related to 2017 March Q1,”
the estimate of Chrysos Co’s value to the equity holder after undertaking the restructuring programme.”
The first question is
As can be seen in the appendix 3. When estimating the cash flows, this question didn’t deduct the additional investment $1200 million from the cash flow. This question only considers its influence on deprecation.
I want to ask why the whole amount 1200 million are not allowed to be deducted as the additional investment when estimation the cash flow.The second question is:
The unbundling value of 3289 million which through MBO has not be included in the ” value to shareholder”. I want to ask why we are not allowed to include this amount into value to equity holder.
That is because in question (2015 December Q1 Cigno) and (2020 March Westparley), we include the sell- off value and unbundling value when calculating the value to shareholders.Thank you so much
November 27, 2021 at 8:01 am #641754If you want to ask the tutor something directly please ask on the ask the tutor forum as this forum is primarily designed for students to help one another. The following is the link to the ask the tutor forum-
Hope this helps.
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